Check my work mode: This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to questa Exercise C-2 Accounting for debt investments classified as trading LO P1 Brooks Co. purchases debt Investments as trading securities at a cost of $79,000 on December 27. This is its first and only purchase of such securities. At December 31, these securities had a fair value of $98,000. 1. Prepare the December 27 entry for the purchase of debt investments, 2. & 3. Prepare the December 31 year-end fair value adjusting entry for the trading securities' portfolio and the January 3 entry when Brooks sells a portion of its trading securities (costing $39,500) for $44,250 cash. 35 Answer is complete but not entirely correct Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 and 3 Prepare the December 31 year-end fair value adjusting entry for the trading securities' portfolio and the January 3 entry when Brooks sells a portion of its trading securities (costing $39,500) for $44,250 cash. Credit No Date Dec 31 Debit 19,000 Gerral Journal Fair value adjustment - Trading Unrealized gain -Income 1 19.000 2 Jan. 3 84.250 Cash Debt investments - Trading Bain on sale of debt investments OOO 5.750 39.500 Reg 1